Author: Scott Horton

Scott has been practicing Labor & Employment law in New York for almost 20 years. He has represented over 400 employers and authored 100s of articles and presentations and wrote the book New York Management Law: The Practical Guide to Employment Law for Business Owners and Managers. Nothing on this blog can be considered legal advice. If you want legal advice, you need to retain an attorney.

Kaplan NLRB Chair

Kaplan NLRB Chair Again Upon Trump Inauguration

On January 20, 2025, newly inaugurated President Donald J. Trump promptly reinstated Marvin E. Kaplan as Chairman of the National Labor Relations Board (NLRB). Kaplan, who has been a member of the NLRB since August 10, 2017, previously served as its Chairman from December 21, 2017, to April 15, 2018. His current term is set to expire on August 27, 2025.

Prior to his tenure at the NLRB, Kaplan held several government positions, including Chief Counsel to the Chairman of the Occupational Safety and Health Review Commission, counsel for the House Committee on Oversight and Government Reform, and policy counsel for the House Committee on Education and the Workforce. He also served at the U.S. Department of Labor’s Office of Labor Management Standards and practiced law with McDowell Rice Smith & Buchanan. Kaplan earned his B.S. from Cornell University and his J.D. from Washington University in St. Louis.

Current Composition of the NLRB

As of January 20, 2025, the NLRB comprises the following members:

  • Marvin E. Kaplan (Chairman): Republican appointee serving a term expiring on August 27, 2025.
  • David M. Prouty: Democratic appointee with a term expiring on August 26, 2026.
  • Gwynne A. Wilcox: Democratic appointee serving a term expiring on August 27, 2028.

Two seats on the five-member board are currently vacant. Notably, former Chair Lauren McFerran’s term expired on December 16, 2024, and her reappointment was blocked by the Senate in a 50-49 vote, with Senators Joe Manchin and Kyrsten Sinema joining Republicans in opposing the nomination. That vote will allow President Trump to nominate replacements, and will certainly result in shifting the board to a Republican majority in the near future.

Anticipated Changes and Impact

With President Trump’s reappointment of Kaplan as Chairman and the opportunity to fill the two vacant seats, the NLRB is poised for a significant shift in its policy direction. Historically, Republican-majority boards have favored more employer-friendly interpretations of labor laws. Employers and labor organizations should prepare for reversals of pro-union decisions made during the previous administration.

In addition to changes in board composition, it is expected that President Trump will promptly appoint a new General Counsel to the NLRB, replacing Jennifer Abruzzo. The General Counsel plays a crucial role in setting enforcement priorities and interpreting labor laws, further influencing the Board’s direction.

These developments suggest a forthcoming pro-employer shift in labor policy, affecting union activities, collective bargaining processes, and employer-employee relations across the United States. Employers should stay informed and adapt to the evolving regulatory landscape.

 

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2025 Paid Family Leave

2025 Paid Family Leave in New York

The New York Paid Family Leave (PFL) Program provides partial pay for employees who take time off due to covered family situations. In 2025, paid family leave benefits are improving for employees. However, employee contributions are also increasing after a couple of years of decline.

Qualifying Circumstances

PFL provides up to 12 weeks of job-protected time off to:

  • Bond with a newborn, an adopted child, or a child in foster care;
  • Care for a family member with a serious health condition; or
  • Assist with family situations when a spouse, domestic partner, child, or parent is deployed on active military duty.

Covered Family Members

Family care leave covers caring for a spouse, domestic partner, child, parent, parent-in-law, sibling, grandparent, or grandchild with a serious health condition.

Employee Contributions

Even though benefits are expanding to cover more family members this year, the employee contribution rate for PFL is decreasing. For 2025, employees will contribute 0.388% of their gross wages per pay period. The maximum annual contribution for 2023 is $354.53, which is $21.28 more than in 2024.

2023 Paid Family Leave Benefits

The maximum weekly benefit for employees taking PFL will also increase in 2025. Eligible employees receive 67% of their average weekly wage up to a cap of 67% of the New York State Average Weekly Wage (AWW). The 2025 AWW is $1,757.19, making the maximum weekly benefit $1,177.32, which is $26.16 more than the maximum weekly benefit for 2024.

Preparing for 2025

Companies should confirm their 2025 paid family leave premiums with their insurance carriers. Then ensure next year’s payroll includes the correct contribution rates.

If your paid family leave policy reflected specific rates for paid family leave in 2024 (or earlier), you should update that information.

 

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2025 New York Minimum Wage

2025 New York Minimum Wage

Do you know the 2025 New York minimum wage? Actually, there are different minimum wages for different parts of the state and different industries. Employers must be ready by the end of the year to meet the new requirements that apply to their employees.

The 2025 New York minimum wage rates are shaded in blue in the tables below. The changes take effect on January 1st.

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Standard New York Minimum Wage

The 2025 New York minimum wage varies by geographic location and sometimes by industry.

For most private employers, the 2025 New York minimum wage in the following chart applies. This chart also applies for non-teaching employees of public school districts or a BOCES. However, there is no New York minimum wage for other employees of public (governmental) employers (but the federal minimum wage of $7.25 does apply).

The chart also shows scheduled minimum wage increases for 2026.

General Minimum Wage Rate Schedule
Location202420252026
NYC, Long Island, & Westchester$16.00$16.50$17.00
Remainder of New York State$15.00$15.50$16.00

* After 2026, future New York minimum wage increases will occur based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Northeast Region. In other words, the minimum wage will be indexed to inflation.

Minimum Wage for Tipped Employees in the Hospitality Industry

New York State has separate minimum wage rules for employees in the hospitality industry. These rules apply to businesses running a restaurant or hotel.

The minimum wage rates for most non-tipped employees in the hospitality industry are set as per the schedule above. However, employers may count a portion of certain tipped employees’ gratuities toward the minimum wage requirements. This is known as a “tip credit.”

New York State has two separate cash wage and tip credit schedules for tipped hospitality employees who qualify as “food service workers” and “service employees.”

Food Service Workers

food service worker is any employee who is primarily engaged in serving food or beverages to guests, patrons, or customers in the hospitality industry who regularly receive tips. This includes wait staff, bartenders, captains, and busing personnel. It does not include delivery workers.

Hospitality Industry Tipped Minimum Wage Rate Schedule (Food Service Workers)
Location202420252026
NYC, Long Island, & Westchester$10.65 Cash
$5.35 Tip
$11.00 Cash
$5.50 Tip
$11.35 Cash
$5.65 Tip
Remainder of New York State$10.00 Cash
$5.00 Tip
$10.35 Cash
$5.15 Tip
$10.70 Cash
$5.30 Tip

Service Employees

The next schedule applies to other service employees. A service employee is one who is not a food service worker or fast food employee who customarily receives tips above an applicable tip threshold (which also follows schedules, not shown here).

Hospitality Industry Tipped Minimum Wage Rate Schedule (Service Employees)
Location202420252026
NYC, Long Island, & Westchester$13.35 Cash
$2.65 Tip
$13.75 Cash
$2.75 Tip
$14.15 Cash
$2.85 Tip
Remainder of New York State$12.50 Cash
$2.50 Tip
$12.90 Cash
$2.60 Tip
$13.30 Cash
$2.70 Tip

Overtime Threshold

Along with increases to the 2024 New York minimum wage, the salary requirement to maintain some overtime exemptions will also increase.

The salary threshold for New York’s executive and administrative exemptions go up on January 1st. These amounts are all higher than the federal Fair Labor Standards Act (FLSA) threshold, which is back down to $684/week after a federal judge enjoined the U.S. DOL’s rule that had initially increased it in July 2024. Most New York employers (other than governmental entities) must satisfy the higher New York threshold to ensure full overtime exemption.

There is no salary requirement for New York’s professional exemption. However, employers must also satisfy the FLSA threshold for most professional employees. Doctors, lawyers, and teachers do not have a salary requirement for exemption.

 

Executive & Administrative Exemption Weekly Salary Threshold Schedule
Location202420252026
NYC, Long Island, & Westchester$1,200.00$1,237.50$1,275.00
Remainder of New York State$1,124.20$1,161.65$1,199.10

Prepare Now for the 2025 New York Minimum Wage

New York employers should review their compensation levels and make necessary changes by January 1, 2025. Updates might result in increasing an employee’s hourly wage or salary or reclassifying exempt employees to non-exempt if they will no longer meet the exemption salary requirement.

And, remember, the 2025 New York minimum wage rates only last one year in some cases. Companies will have to review this again next year (or sooner).

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